Everyone brings a gift already wrapped. No one should know which gift you brought. Make up slips of paper with numbers on them and have each person draws a number. People choose gifts according the numbers that are drawn.

To start, the person with #1 picks out a gift, opens it so all can see what it is. Then the person with #2 get to "steal" any unwrapped gift or chose from those not yet chosen and opened. Then person #3 gets to "steal" any already opened gift or chose one of the ones still unopened. This continues around the circle.

Rules:

The game continues with the following rules:

A) If someone steals your gift, you can steal someone else's gift (see rules below)
B) Continue until everyone has had a turn for a gift. A turn is ended when an unopened gift has been opened.
C) A gift can only be "stolen" once during a turn.
D) Once a gift has had 3 "owners" the 3rd owner of a gift gets to keep it, it can't be stolen again.

Ending the game:

After the last turn, the person who started (since he didn't get a chance at the beginning) can put back the gift and "steal" and gift according to the rules. This starts the gift exchange again (following the above rules) and ends when someone chooses or is forced to take the gift given up by the person with #1. For additional fun, you can go all the way around the circle again having people put back and "steal" gifts they want. Of course, you have to continue to follow the rules above. Make sure the rules are clear to everyone before starting the exchange.